The cooling solution for last-mile delivery

Today's consumers increasingly prefer online shopping, which puts pressure on e-commerce companies to deliver requests as quickly and well as possible.

So, businesses must develop new ways to do things and technologies to speed up parcel delivery while keeping costs low.

For e-commerce businesses, the last mile is often the process's most difficult and expensive part. So, what is the last mile? The last mile is the last step in the delivery process: the movement of goods from the distribution center to the customer's doorstep.

This part of the delivery process presents many challenges for all e-commerce operations. Still, it affects businesses that deliver perishable goods that need to be kept cool, refrigerated or frozen. The need to keep the goods at a constant temperature introduces another layer of complexity.

Choosing the right cooling medium is critical to a successful last-mile strategy, and several options exist.

Dry ice (external supply)

The standard cooling medium for perishable shipping products is dry ice. Due to its unique characteristics, this means offers many advantages for the last mile process:

• Food Safety - Dry Ice is a food-grade media and is FDA and USDA-approved for safe use in the food industry. It is also colorless, tasteless and odorless.
• Substantial cooling capacity - Dry ice maintains a constant temperature of -78.5°C and keeps products cooler for longer.
• Ecological - Dry ice is a unique solution. It sublimates into gas, leaving no water, residue or waste. It is also made from recycled CO 2 and does not add additional CO 2 to the atmosphere.

Although dry ice is the preferred cooling method, the pressure to meet customer expectations for delivery time and quality while minimizing costs demands that e-commerce businesses have the maximum flexibility. When facilities source dry ice from outside, it limits their control over the quantity, quality, and form of dry ice (pellets, slices, or blocks).

The dramatic growth of e-commerce and the growing popularity of online grocery stores has prompted many companies to consider automating the packaging process in distribution centers. However, supplying dry ice from outside makes this process more complicated because an employee still has to manually place the dry ice without an integrated metering or dosing system.

Given these constraints, some companies have started looking at other cooling options.

Ice packs

Gel ice packs or cooling pack are effective for cooling products that need to be stored between 0 and 15.5°C. Although gel blocks are easier to store and handle than dry ice, they pose great environmental concerns. Their use and possible reuse may also entail additional costs.

Ecological issues

In general, gel blocks create waste that is difficult to recycle. Most consumers just throw the packaging away, but some environmentally conscious consumers may try to recycle it. It can be a difficult task. To recycle the outer packaging, the gel must first be removed, and the packaging cleaned. The packaging is made of a specialized type of plastic which, in many regions, can only be recycled at specific recycling locations.

Gel removal also becomes a problem. The substances most commonly used in gel blocks, including sodium polyacrylate, are not biodegradable. This means that gel waste will end up in landfills and cannot be recycled.

Some companies run "take-back" programs, which allow customers to return gel packs by mail for free. However, to be able to reuse the packs, companies must first disinfect them. Besides the issue of general cleanliness, gel packs often come into contact with dairy products, vegetables and meat, which introduces the risk of foodborne illness.

If take-back programs lead to recycling some refrigerant blocks, this entails a considerable additional cost. The costs of return shipping, disinfection and cooling of protective packaging will increase significantly.

Refrigerated truck

Another possibility for cooling is transporting goods in trucks equipped with integrated refrigeration systems. This option can provide the proper cooling without the need to add an extra step at the distribution center, namely applying a coolant to the packages. 

However, the process presents logistical difficulties and raises serious concerns about its environmental impact.

Logistic challenges

Goods not directly accompanied by a cooling medium must be kept refrigerated. Products begin to change temperature immediately when taken out of refrigeration. This poses a problem when items are loaded onto the truck and unloaded for delivery.

Poor loading practices often leave perishable foods on the loading dock longer than allowed. As a result, a large percentage of goods are loaded onto trucks at inappropriate temperatures. Also, when the items reach their final destination, the customer must be at home to accept the order or accept the items to remain on their doorstep without any cooling.

There is also a chance that the equipment will break down or the driver will make a mistake, which could cause a total loss of refrigeration or goods being held at the wrong temperature.

Environmental Protection

Refrigerated trucks consume more energy and fuel than traditional delivery trucks. As a result, they can consume up to 25% more fuel and release significantly more particulate pollutants, such as refrigerant chemicals and nitrogen oxides.

Last-mile delivery by refrigerated trucks is becoming more and more difficult in urban areas. In the cities, the roads are congested, and parking is more difficult. Trucks, therefore, stay on the road longer, idle longer, generally use more energy and emit more emissions.

Cities are also starting to establish rules to protect the environment and the number of fuel trucks in city centers. For example, many European cities are beginning to implement low-emission zones, which impose an entry fee on motor cars and trucks. In London, for example, these trucks must pay an entry fee of €120.

Using electric trucks significantly reduces environmental impact and could limit additional regulatory costs, but electric vehicles are limited by radius and battery power. As a result, it takes a significant amount of energy to make many daily deliveries while keeping items cool.

Dry ice (production on site)

Dry ice remains the most effective cooling medium for last-mile delivery. It provides constant cooling that is environmentally friendly and safe for the user.

On-site dry ice production eliminates the logistical constraints of sourcing dry ice from an external source. On-site production not only gives facilities more control and lets them make dry ice when they need it, but it also lets them, but it also gives them more options for meeting customer needs.

More flexibility

All expeditions have unique cooling requirements. Different amounts, sizes, and shapes of dry ice are needed depending on the cargo being transported, the length of the trip, and the space constraints of the different shipping containers.

Installing a dry ice production unit (pelletizer, slicer or reformer) allows companies to produce the exact amount of dry ice needed and in the exact size or shape required. Another benefit is that dry ice waste can be reduced or eliminated.

·         Integration into an automated process

·         On-site production can also be automated

Dosing and measuring systems can be installed into an existing process and allow pre-programmed quantities of dry ice to be produced directly into packaging containers.

The growth rate of the online retail industry will continue to increase rapidly in the coming years. As a result, global standards and societal perspectives on the environment and worker protection will continue to evolve in the same direction. Developing a last-mile strategy that is both sustainable and cost-effective starts with choosing the right cooling medium. Dry ice is the only option that meets all the criteria.